Amway says FTC is soft on MLMs?
This one comes from Zac Bissonnette over at BloggingStocks.com. He said it a little more politely than I might have. But it’s interesting that the oldest and yuckiest of all MLMs is willing to admit that the FTC is not hard enough on MLM regulation. Here’s a part of what Zac had to say:
Here’s [...]
Commit crimes that put the Milwaukee Public Museum in financial ruin, and here is your punishment
Terry Gaouette, the former CFO of the Milwaukee Public Museum who colluded with the former CEO Michael Stafford to spend all the endowment money and then create and distribute false financial reports to cover their crimes, was sentenced last week.
He pleaded guilty to a misdemeanor of falsifying a financial report. He has to pay [...]
Lawyer convicted of tax evasion and bankruptcy fraud wants to teach a morality class instead of going to prison
No, it’s not a joke.
Stephen Yagman, a high-profile lawyer who was involved in numerous cases against police thinks that he shouldn’t go to prison for his convictions on tax evasion and bankruptcy fraud. He says that would be too harsh a punishment, and he also says he will be in physical danger in prison because [...]
Forcing auditors to tell the secrets of their clients?
As a general rule, communications between an auditor and client are private. The information given to an auditor can generally only be disclosed with the permission of the client, or in situations involving SEC filings.
But the protection of communications between auditors and clients isn’t anywhere near that of the attorney-client privilege. And this is causing [...]
What’s your fraud score?
A research report published by the Final Four accounting firms details how to create a “fraud score” for public companies which can help predict which companies may be engaging in accounting manipulations.
Using the model outlined in “Predicting Material Accounting Manipulations,” a company that has a fraud score above 1.00 has a “red flag.” The model [...]
Should you blog?
I am often asked by other professionals if they should start a blog, and the answer is almost always, “it depends.” And it really does. I think the most important variable is whether or not the person is committed to blogging for the long-term. And a close second is whether or not the person is [...]
Putting auditor billing rates into perspective
I am still settling in from my office move and upacking some odds and ends. Today I came across a billing rate card from Arthur Andersen. The rates are from 9/1/96 to 8/31/97 for the Milwaukee office, and they are interesting. Notice this is over ten years ago.
These are the “Standard Rates” which were for [...]
I’m sorry sir, but we’re going to have to raise your audit fees!
Sure, it’s easy to blame rising audit fees on Sarbanes-Oxley. But could there be more sinister forces in play? Witness this recent discussion between a senior partner and an audit client:
Audit partner: “I’m sorry sir, but we’re going to have to raise your audit fees!”
Client: “You don’t say? What is the cause of this action?”
Audit [...]
